Traders react to the Supreme Court’s decision at the post that trades WellPoint on the floor of the New York Stock Exchange, June 28, 2012.REUTERS/Brendan McDermidMarkets are surging back this week, but there’s still plenty of money to be made from last week’s rout.
UBS has issued clients a list of stocks which fell in value and offer big returns as a result.
All of the stocks listed declined 5% or more during the sell-off, meaning their price-to-earnings forecast for the next 12 months has ticked up.
The next 12 months price-to-earnings (NTM P/E) forecast is calculated by dividing a current stock’s price by its forecast earnings over the next year.
So if the stock price for Amazon was $100 and its predicted earnings per share (EPS) was $30, the NTM P/E would be 30.
Here are 10 UBS bargain stock picks, ranked according to the size of their NTM P/E.